The rupee advanced 12 paise to 64.26 against the US dollar in early trade at the Interbank Foreign Exchange today on increased selling of the greenback by benks and exporters besides a sustained foreign fund inflow. Forex dealers said that apart from heavy selling by exporters and banks, weakness in the dollar against other currencies […]

The dollar rose to 11-year high against a basket of major currencies on Tuesday, with the U.S. currency hitting a six-week high against the euro as interest rate differentials moved in favour of U.S. Treasuries. The yield gap between two-year U.S. Treasuries and euro zone government bonds widened ahead of details of the European Central […]

UBS has reported better than expected first quarter results and said it will reorganise its business to ensure it can more easily be broken up in the event of a crisis. The Swiss bank reported a 6.7% increase in net income to 1.05bn Swiss francs (£708m). That surprised some analysts who were expecting a fall […]

Switzerland’s oldest bank is to close permanently after pleading guilty in a New York court to helping Americans evade their taxes. Wegelin, which was established in 1741, has also agreed to pay $57.8m (£36m; 44m euros) in fines to US authorities.

Commercial banks parked a record 777 billion euros ($1.03 trillion) with the ECB overnight, roughly three-quarters of the money the central bank has shovelled into the financial system in two injections of ultra-cheap three year funding since December. Banks took 530 billion euros at this week’s second offering of ECB

Massachusetts is suing five major banks alleging “illegal” and “deceptive” conduct in the way they seized homes during the financial crisis. Bank of America, JP Morgan, Wells Fargo, Citigroup, and GMAC must pay for the “harm” caused, the writ says.

JP Morgan Chase shot down a report that it was holding hundreds of millions of dollars in missing MF Global client funds. JP Morgan said that, much like other banks, it has been holding MF funds and awaiting instructions from the bankrupt company’s trustee.

Royal Bank of Scotland says it will vigorously defend itself against US government claims it misrepresented the quality of mortgages it sold. The US Federal Housing Finance Agency (FHFA) has filed lawsuits

Brazil’s central bank has unexpectedly cut the country’s key interest rate to 12% from 12.5%, citing a “substantial deterioration” in the outlook for the global economy. The bank’s rate-setting committee voted five to two in favor of

Bank of America is selling about half of its 10% stake in China Construction Bank for $8.3bn in cash. The largest US bank said the sale would help it strengthen its capital base to comply with new global regulations, known as Basel